Option Movers | Nvidia's Trading Volume More Than Doubles; PDD Sees Highest Bullish Sentiment
The S&P 500 and Dow ended at record highs on Tuesday (Sept. 24), shrugging off weak consumer confidence data, as mining stocks surged following China's announcement of a sweeping stimulus package.
Regarding the options market, a total volume of 42,922,422 contracts was traded on Tuesday.
Top 10 Option Volumes
Top 10: $NVDA(NVDA)$; $TSLA(TSLA)$; $BABA(BABA)$; $AAPL(AAPL)$; $NIO(NIO)$; $INTC(INTC)$; $PLTR(PLTR)$; $PDD(PDD)$; $AMZN(AMZN)$; $AMD(AMD)$
Source: Tiger Trade App
$Nvidia(NVDA)$ shares ticked up 4% on Tuesday as the artificial intelligence leader prepares to begin shipping its highly anticipated Blackwell GPU during the fourth quarter.
"And here we are ramping Blackwell, and it's in full production," said Nvidia CEO Jensen Huang, during the Goldman Sachs Communacopia + Technology Conference. "We'll ship in Q4 and scale it -- start scaling in Q4 and into next year. And the demand on it is so great ... and so the intensity is really, really quite extraordinary."
A total number of 4.52 million options related to $Nvidia(NVDA)$ was traded, up 137% from the previous trading day. A particularly high trading volume was seen for the $120 strike call options expiring this Friday, with 272,958 options contracts trading as of Tuesday.
Source: Market Chameleon
Unusual Options Activity
Source: Market Chameleon
Chinese ADRs jumped on Tuesday. $FXI(FXI)$ rose 9.8%; $Alibaba(BABA)$ rose 7.9%; $NIO(NIO)$, $PDD Holdings(PDD)$ rose more than 11%; $JD.com(JD)$ rose 13.9%. China’s central bank unveiled a broad package of monetary stimulus measures to revive the world’s second-largest economy.
However, they retreated in premarket trading Wednesday as investors mulled the sustainability of China’s rally.
People’s Bank of China governor Pan Gongsheng cut a short-term key interest rate and announced plans to reduce the amount of money banks must hold in reserve to the lowest level since at least 2018 at a rare briefing alongside two of the country’s other top financial regulators in Beijing. That marked the first time reductions to both measures were revealed on the same day since at least 2015.
Options trading volume of Chinese ADRs also surged on Tuesday. A total number of 698,017 options related to $Alibaba(BABA)$ was traded, of which 76% were call options. A particularly high trading volume was seen for the $100 strike call options expiring Oct. 24, with 37,390 options contracts trading as of Tuesday.
Source: Market Chameleon
TOP Bullish & Bearish Single Stocks
This report shows stocks with the highest volume of bullish and bearish activity by option delta volume, which converts option volume to an equivalent stock volume (bought or sold).
If we take the total positive option delta volume and subtract the total negative option delta volume, we will get the net imbalance. If the net imbalance is positive, there is more bullish pressure. If the net is negative, there is more bearish pressure.
Top 10 bullish stocks: $PDD(PDD)$; $U(U)$; $NIO(NIO)$; $AAL(AAL)$; $WULF(WULF)$; $INTC(INTC)$; $JD(JD)$; $TSM(TSM)$; $NKE(NKE)$; $TME(TME)$
Top 10 bearish stocks: $TSLA(TSLA)$; $NVDA(NVDA)$; $BEKE(BEKE)$; $SMAR(SMAR)$; $AAPL(AAPL)$; $AMZN(AMZN)$; $VLO(VLO)$; $KSS(KSS)$; $CSCO(CSCO)$; $UEC(UEC)$
Source: Market Chameleon
Market sentiment for $PDD(PDD)$ is quite bullish. Based on option delta volume, traders bought a net equivalent of 2,872,705 shares of PDD stock. The largest bullish delta came from buying calls.
$(NVDA)$ $(BABA)$ $(PDD)$Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
